EconPapers    
Economics at your fingertips  
 

Geographic Environmental Kuznets Curves: The Optimal Growth Linear-Quadratic Case

Raouf Boucekkine (), Giorgio Fabbri (), Salvatore Federico () and Fausto Gozzi
Additional contact information
Salvatore Federico: Università degli Studi di Siena, Dipartimento di Economia Politica e Statistica

Working Papers from HAL

Abstract: We solve a linear-quadratic model of a spatio-temporal economy using a polluting one-input technology. Space is continuous and heterogenous: locations differ in productivity, nature self-cleaning technology and environmental awareness. The unique link between locations is transboundary pollution which is modelled as a PDE diffusion equation. The spatio-temporal functional is quadratic in local consumption and linear in pollution. Using a dynamic programming method adapted to our infinite dimensional setting, we solve the associated optimal control problem in closed-form and identify the asymptotic (optimal) spatial distribution of pollution. We show that optimal emissions will decrease at given location if and only if local productivity is larger than a threshold which depends both on the local pollution absorption capacity and environmental awareness. Furthermore, we numerically explore the relationship between the spatial optimal distributions of production and (asymptotic) pollution in order to uncover possible (geographic) Environmental Kuznets Curve cases.

Keywords: growth; geography; transboundary pollution; infinite dimensional optimal control problems (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-agr, nep-ene, nep-env and nep-res
Date: 2018-05
Note: View the original document on HAL open archive server: https://halshs.archives-ouvertes.fr/halshs-01792440v2
References: View references in EconPapers View complete reference list from CitEc
Citations Track citations by RSS feed

Downloads: (external link)
https://halshs.archives-ouvertes.fr/halshs-01792440v2/document (application/pdf)

Related works:
Working Paper: Geographic Environmental Kuznets Curves: The Optimal Growth Linear-Quadratic Case (2018) Downloads
Working Paper: Geographic environmental Kuznets curves: The optimal growth linear-quadratic case (2018) Downloads
Working Paper: Geographic environmental Kuznets curves: The optimal growth linear-quadratic case (2018) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:wpaper:halshs-01792440

Access Statistics for this paper

More papers in Working Papers from HAL
Bibliographic data for series maintained by CCSD ().

 
Page updated 2018-10-21
Handle: RePEc:hal:wpaper:halshs-01792440